After the SEC's lawsuit against Binance, there were decreases in Bitcoin and altcoins, while investors were in a hurry to withdraw their money from Binance.
According to Nansen's data, while withdrawals from Binance increased, the exits from the stock market reached $ 719 million in 24 hours.
Nansen data also shows that Binance suffered net outflows of approximately $69 million within an hour of the news of the lawsuit.
The Nansen data also shows that Binance's stablecoin balance remains healthy. The exchange currently has a stablecoin balance of over $8 billion. OKX, the cryptocurrency exchange with the largest stablecoin reserves after Binance, has a balance of around $ 4 billion.
Commenting on the money outflows from Binance, crypto analysis platform CryptoQuant said in his post on his Twitter account that withdrawals are within historical normal levels.
Noting that Binance has experienced massive Bitcoin (BTC) and Ethereum (ETH) outflows after the SEC lawsuit announcement, CryptoQuant said that "while withdrawals are unprecedented and massive, they only reflect a small amount of Binance's reserves." said.
Comparing the CFTC's lawsuit against Binance with the SEC lawsuit, CryptoQuant wrote:
“The net outflows after the SEC lawsuit are more significant than when the CFTC sued Binance in March 2023.
However, net outflows so far have been smaller than the stock market has experienced during other times of stress or regulatory FUD.
Moreover, these net outflows are small relative to the stock market reserve level.
Looking at stablecoins, the reserves on Binance drop significantly from $24.5 billion in December 2022 to $8 billion. This decline is a result of the sanction against BUSD.
After the SEC lawsuit announcement, the total amount of user transactions seeking to withdraw cryptocurrencies such as Bitcoin, Ethereum or Stablecoin increased, but these are still within historically normal levels.”
As is known, the SEC sued Binance and its CEO, CZ, for allegedly violating federal securities laws.